THE RIDGE350 Wedgewood Dr.Morgantown, West Virginia 26505

6.00% Targeted Average Cash-on-CashBuilt 2002

168 Units – 644 Beds

NEW OFFERING COMING SOON JULY 2018

130 Vantis suite 160 Aliso Viejo, Ca 92656 • (877) 827-NBPC (6272)

OPPORTUNITYThe Ridge is situated less than one mile from West Virginia University in Morgantown, WV. This investment provides a perfect opportunity to acquire a property at a Tier one University in the Big 12 conference. The fully amenitized property was built in 2002 and has an outstanding location and legacy within the WVU market.

Although the property was nearly 100% occupied for the 2016-2017 academic year, it has experienced a slower leasing velocity and lower current occupancy at 77 percent for the 2017-2018 academic year. As pockets of the national student housing market begin to mature and go through peaks and troughs we believe The Ridge presents itself as a value centric investment opportunity.

Mark Twain’s investment advice was, “Buy a stock and sell it when it goes up. If it doesn’t go up, don’t buy it.” NB Private Capital is not Mark Twain so our approach is not foolproof but we do agree that buying low helps investment returns in the long run. We believe the acquisition price is relatively low compared to what the property value could potentially be using our operational strategy that we have in place over the next couple of years if enrollment begins to climb.

The Ridge is currently being priced at around $23,000 per bed which is about half of what the average price per bed was in 2017 for national B/C* student housing transactions. It is also the lowest price per bed compared to the most recent sales comparables. This is why we believe this property to be the most compelling in location, cleanliness and amenities it has to offer.

We believe as the market continues to improve, we will invest in the property providing minor cosmetic upgrades to improve its competitiveness and potentially drive rents higher. Over time, these improvements can potentially bring back the property’s valuation to be in line if not more than the comparables.

THE PROPERTYLocationThe Ridge is one of the closest comparable properties located less than one mile north of the Evansdale Campus, providing an exceptional advantage for location near the new advanced engineering research building, college of engineering and mineral resources, WVU’s medical school, hospital (which employs over 6,000), law school and the football stadium. The university is also currently building a new agricultural sciences building, Evansdale Crossing (Student Service Center) and Milan Puskar Stadium expansion all located on/near the Evansdale campus.

The Ridge, outside of its six comparables located near Evansdale campus, has little competition from class D properties that are what we believe to be unsuitable for college students.

Unit MixThe property is the only comparable property that has a 4 bedroom 2 bathroom unit mix. It has a standard and deluxe size 4 bedroom 2 bathroom which both units account for 85 percent of the property’s beds; the other 15 percent are 3 bedroom 3 bathroom units.

W E S T V I R G I N I A S T U D E N T H O U S I N G R E C E N T S A L E C O M P A R A B L E S

Date of Sale Price/Bed

C O P P E R B E A C H 4/25/2017 25,984

T H E P R O V I N C E - D A Y T O N 7/27/2017 38,052

M O U N T A I N V A L L E Y 11/30/2016 53,951

U N I V E R S I T Y C O U R T Y A R D 11/30/2016 35,172

T H E L E X 9/28/2017 61,633

B E D / B A T H S F U N I T S B E D S

3 Bed/ 3 Bath 1,107 28 84

4 Bed/ 2 Bath 1,076 84 336

4 Bed/ 2 Bath Deluxe 1,305 56 224

Subtotal – 168 644

*The Ridge is what we would consider a Class B property.

MARKET ANALYSISNegative enrollment in combination with a surplus of new student beds has impacted the property’s recent performance. However, we believe we are buying the property close to a turning point in the market based on no new off campus supply currently planned over the next three school years and enrollment growth turning positive and projected to increase by an average of 1.2% per year thru 2022.

Axiometrics forecasts the ratio of purpose built bed to enrollment to normalize around 43% if enrollment continues to see positive growth and the number of students comes close to a level seen pre Fall 2013. We believe other buyers have begun to see the same opportunity in the market; and that is to buy at a perceived low cost per bed in a market that will recover over the next couple of years and invest in upgrading the property. A total of three properties are either in escrow or on the market to be sold (which includes The Ridge) and one that can currently be disclosed at the time of this writing is Campus Evolution.

STRATEGYThe opportunity to purchase, at what we believe to be a low enough acquisition price, allows us to underprice market rents to a level where we can return the property’s occupancy to 90 percent occupancy. Based on our research, we believe leasing can be accelerated if the 4 bedroom 2 bathroom units are discounted to a greater extent to the 4 bedroom 4 bathroom comparable units in the market. The reduction in rents and 90 percent occupancy we believe will still provide the support the property needs to allow us to target a 5.75 percent distribution before the market fully recovers.

F O R E C A S T E D M A R K E T S U P P LY A N D D E M A N D

Year Total Enrollment

Enrollment Growth

Change in Enrollment

Purpose Built Bed to Enrollment

Total New Supply (on-campus and off campus)*

2013 29,466 -0.8% -241 40.8% 418

2014 29,175 -1.0% -291 39.9% -377

2015 28,776 -1.4% -399 41.0% 177

2016 28,488 -1.0% -288 44.5% 856

2017F 28,346 -0.5% -142 45.2% 141

2018F 28,544 0.7% 198 44.9% 0

2019F 28,915 1.3% 371 44.5% 54

2020F 29,378 1.6% 463 43.5% -88

*Source: Axiometrics

U N I T R I D G E C O M P A R A B L E S T A R G E T

4 bed 2 bath 374 - 330

4 bed 2 bath deluxe

383 - 350

4 bed 4 bath - 436

THE RIDGE | WEST VIRGINIA UNIVERSITY

The contents of this communication: (i) do not constitute an offer of securities or a solicitation of an offer to buy securities, (ii) offers can be made only by the confidential Private Placement Memorandum (the “PPM”) which is available upon request, (iii) do not and cannot replace the PPM and is qualified in its entirety by the PPM, and (iv) may not be relied upon in making an investment decision related to any investment offering by the issuing company, or any affiliate, or partner thereof (“NBPC”). All potential investors must read the PPM and no person may invest without acknowledging receipt and complete review of the PPM. With respect to the “targeted” goals and performance levels outlined herein, these do not constitute a promise of performance, nor is there any assurance that the investment objectives of any program will be attained. These “targeted” factors are based upon reasonable assumptions more fully outlined in the Offering Documents/ PPM. Consult the PPM for investment conditions, risk factors, minimum requirements, fees and expenses and other pertinent information with respect to any investment. These investment opportunities have not been registered under the Securities Act of 1933 and are being offered pursuant to an exemption therefrom and from applicable state securities laws. Past performance and statements regarding current occupancy and earnings are no guarantee of future results. All information is subject to change. You should always consult a tax professional prior to investing. Investment offerings and investment decisions may only be made on the basis of a confidential private placement memorandum issued by NBPC, or one of its partner/issuers. NBPC does not warrant the accuracy or completeness of the information contained herein. Thank you for your cooperation.

Securities offered through Emerson Equity LLC Member: FINRA/SIPC. Only available in states where Emerson Equity LLC is registered. Emerson Equity LLC and NBPC are not affiliated.

Home to over 28,000 students, West Virginia

University offers 353 majors in diverse

programs including agriculture, business,

creative arts and nursing in 15 colleges.

Recently, several of its graduate programs

including law, engineering and education

are ranked in U.S. News and World Report’s

2017 edition of America’s Best Graduate

Schools. Amount its students, 24 are Rhodes

Scholars, 22 are Truman Scholars and 40

are Goldwater Scholars. WVU’s faculty is

nationally recognized and 19 have been

named Carnegie Foundation Professors of

the Year.

T O TA L F A L L 2 017 E N R O L L M E N T 28 , 3 4 6C O N F E R E N C E B I G 12T U I T I O N I N - S TAT E $ 8 , 3 4 5T U I T I O N O U T - O F - S TAT E $ 23 , 5 0 0

NBPC The Ridge | 6-6-18

130 Vantis suite 160 Aliso Viejo, Ca 92656 • (877) 827-NBPC (6272)